Sales and Site Survey Summer 2005 Client Release Date – October 2005

2 SURVEY GOALS DailyNews.com (DN.com)  Profile DailyNews.com (DN.com) visitors Internetmedia habits  Describe visitors’ Internet and media use habits impact readership & circulation  Assess the impact of DailyNews.com on newspaper readership & circulation content preferences future purchasing plans  Identify visitor’s content preferences and future purchasing plans  Examine special issues: Search & New Tech

3 METHODOLOGY DailyNews.com online survey  We invited visitors to DailyNews.com to participate in an online survey. September 7, 2005October 6, 2005  The survey went live on September 7, 2005 and closed October 6, site visitor  Data from 775 site visitor interviews in this report.

4 SUMMARY  Great Audience  Extended Reach  High Frequency  Local Opportunity

5 DEMOGRAPHICS

6 Respondent Demographics DailyNews.com attracts a highly desirable audience mix… Highlight s Gender58% Men 42% Women Median Age 44 Years Median Income $68,900 Education 57% College Graduate or More Residence 72% Los Angeles Area

7 Overall, DailyNews.com draws more men than women Demographics In-NDM proportions are xx% men and yy% women Sample N = 663

8 Most DailyNews.com visitors are years of age Demographics Median Age (Total): 44 Years Median Age (In-MKT): xx Years Median Age (Ex-MKT Area): xx Years Sample N = 663

9 DailyNews.com has a more diverse audience than most newspaper sites Demographics Sample N = 663

10 DailyNews.com visitors have high incomes Demographics Median Income: $68,900 In-Market: $xx Out-of-Market ZIPs: $yy U.S Median: $42,150 Sample N = 663

11 DailyNews.com visitors have high levels of education Demographics Sample N = 663

12 DailyNews.com visitors are in white collar professions Demographics Sample N = 663

13 Most DailyNews.com users are married, but singles also use the site Demographics Sample N = 663

14 Most site visitors are home owners Demographics Sample N = 663

15 Most site visitors live in the Los Angeles area There is wide variation in the proportions of out-of-market visitors among sites Reach Sample N = 663 For DailyNews.com, 70% report being permanent full-time Los Angeles area residents and 72% answer “Yes” to “live in the Los Angeles area.”

16 Most visitors have direct relations with the local area Reach “Other” and “Former Resident” were the next largest groupings behind “Permanent Resident” Sample N = 663

17 77% of respondents reported California ZIPs DailyNews.com Web Site Footprint

18 USAGE MOTIVES

19 Local News & Breaking News Lead Interest General Drivers – Top Items Percent “Very Interested” Sample N = 663 Page 1 of 3

20 Visitors show interest in a wide variety of local advertising Page 1 of 2 Ad Content Impact All items refer to “Local Ads” Percent “Very Interested” Sample N = 663

21 Visitors show interest in a wide variety of local advertising Page 2 of 2 Ad Content Impact All items refer to “Local Ads” Percent “Very Interested” Sample N = 663

22 LOCAL SHOPPING

23 Grocery Stores: 96% used at least one Sample Base: Respondents who self-report living in the local area N = 478 Last 7 Days: Lifestyles

24 Department and Discount: 94% shopped at least at one Sample Base: Respondents who self-report living in the local area N = 478 Last 30 Days: Lifestyles 1 of 2

25 Many local visitors will shop for vehicle or real estate Sample Base: Those who self- report living in the local area N = 478 Vehicles Next 6 Months: Sample Base All Respondents N = 663

26 Auto: DailyNews.com and print are important sources Next 6 Months:Vehicles Sample Base: Those who self-report living in the area and plan to buy a vehicle in the next 6 months N= 99

27 Auto: Dealers to be shopped Vehicles Sample Base: Those who self-report living in the area and plan to buy a vehicle in the next 6 months N= 99 Next 6 Months:

28 DailyNews.com & print will be important sources Sample Base: Respondents who will buy, sell or rent real estate in the area in the next 6 months N= 110 Real Estate

29 Real Estate: Agencies to be used Real Estate Sample Base: Respondents who will buy, sell or rent real estate in the area in the next 6 months N= 110 Next 6 Months:

30 SITE USE

31 Most visitors are satisfied with DailyNews.com Site Use Satisfaction Level with DailyNews.com: Sample Base: Began accessing site more than 30 days ago N = 505

32 DN.com has visitors from both home and office weekdays Internet Use Sample Base: 30+ Days since first visit & Visit Weekdays N= % of long-term visitors report accessing the site from 2 or more computers over a 30-day period.

33 Visitors use the Internet and DailyNews.com very often Average Days Visited in Past Seven Days Internet Use Sample Base: First 28-Day Respondents N= 664

34 38% of DAILY users visited 5-7 days in the past week Days used DailyNews.com in past 7 days Site Use Average = 3.2 Sample Base: First 28-Day Respondents N= 664

35 The average daily user accesses the site 2.3 times on the weekdays Average Times Visited in Day Visiting Internet Use Sub Sample Base: 30+ Day/Weekday Visitors N= 414 Sub Sample Base 30+ Days/Weekend Visitors N= 234 Total Sample Base: First 28-Day Respondents N= 664

36 Eight in ten site visitors have high-speed home access Internet Use Sample Base: All Respondents N= 664

37 COMPETITION We will now discuss in a little more detail the struggle for existence… - Charles Darwin, The Origin of Species

38 Competitive Set Percent used 1-7 days in past seven days Competition Sample Base: Los Angeles Local Zips = % of local users prefer DailyNews.com for local news and information— and TV stations are coming on strong.

39 Competitive Set Preferred Sites for Breaking News Competition Sample Base: Los Angeles Local Zips = 483 Less than 1/3 of local users prefer DailyNews.com for breaking news and information—and two TV stations tie Yahoo!.

40 Sites Used for Entertainment Information Competition Sample Base: Total Respondents = 663

41 Sites Used for Sports Information Competition Sample Base: Total Respondents = 663

42 eBay tops the list of sites used to Buy/Sell/Find Personal Goods Competition Sample Base: Total Respondents = 663

43 Sites Used for Jobs/Career Information Competition Sample Base: Total Respondents = 663

44 Sites Used for Automotive Information Competition Sample Base: Total Respondents = 663

45 Sites Used for Travel Information Competition Sample Base: Total Respondents = 663

46 National sites used for for Local Search Information Competition Sample Base: Total Respondents = 663

47 Online Classified Use is Active and Recent Classifieds Sample Base: Classified users N= 218

48 Jobs tops usage in classifieds Classifieds Percentages are for ever used, “Visited Classifieds” N= 218 Classifieds Verticals Ever Used:

49 Visitors have taken a wide variety of uses of online Verticals/Listings. Classifieds Vertical Actions taken in last 6 months: “Visited Classifieds” N= 218 Verticals/Classifieds Verticals Uses Last Six Months:

50 THE ONLINE AUDIENCE & PRINT

51 Growing…visitors include old-timers and newcomers Site Use Sample Base: All Respondents N= 663 DailyNews.com is still growing, with 18% of daily users visiting for the first time within the past month.

52 DailyNews.com is reaching beyond local print readership 53% of local respondents had read Los Angeles Times 8% had read Pasadena Star-News 6% had read Santa Clarita Signal 5% had read Ventura County Star 53% of local respondents had read Los Angeles Times 8% had read Pasadena Star-News 6% had read Santa Clarita Signal 5% had read Ventura County Star Reach Sample Base: Los Angeles Local ZIPs N= 597

53 DailyNews.com reaches beyond the print subscriber base Effects of Site Sample Base: Los Angeles Local ZIPs N= 484

54 DailyNews.com is reaching many who have never subscribed Reach Sample Base: Los Angeles Local ZIPs N= 597

55 DN.com users include many single- copy buyers & “borrowers” Effects of Site Source of Last Copy: Sample Base: Los Angeles Local ZIPs N= 484

56 DailyNews.com use has had little net impact on subscriptions Effects of Site Since you started visiting this site: In-Market, the proportions are x% starts vs. y% stops Percent based on those who have been visiting site more than one month N = 663

57 SPECIAL SECTION:

58 Local Newspapers and Web sites are key MOVIE sources Sample N = 663 Los Angles Daily Newsprint edition DailyNews. com Los Angeles Times print edition LATimes.com /CalendarLiv e.com LA.co m LAWee kly/LA Weekly.com Fand ango. com Other Newsp aper Magazi nes Other Intern et/ TV, radio, etc. Don't use/ NA Get general movie information17%8%11%5%0%3%5%7%2%23%19% Decide which movie to see16%7%10%5%0%3%4%7%2%22%23% Decide where to see movies18%6%10%5%0%1%6%7%1%22%24% Get show times18%7%11%4%0%2%8%0% 24%19% Read movie reviews17%8%11%6%0%3%4%7%3%20%22% Which of the following sources do you use to get information about movies?

59 Most visitors have e-commerce experience  89% have made online purchases in the last six months.  They spent an average of $500 online in the past 6 months. Notes on E-commerce Sample Base: All Respondents N= 663

60 Four in ten users spent $500 or more online in last six months. Classifieds Sample Base: All Respondents N= 663

61 Site visitors have high levels of new technology adoption Many of the new technologies reviewed have a subscription revenue element.

62 TRAFFIC ESTIMATES

63  Local Population4,193,000  In-Market (Metro) Audiencexx  In-Market (NDM) Reachx%  In-Market (NDM) Web-Unique xx  Extended Reach in Local Population xx% September 2005 Audience Reach: xx Estimates are for a standard 28-day month March 2005 Survey N = 1,060

64 “Incidentals” are only 23% of daily visitors, but are xx% total monthly. Frequency xx Belden Estimates: Incidental Audience Core Audience Incidental =3 or fewer visits in month Core = 4 or more visits xx September Core Audience Visitors is continuing to grow with 23% of daily visitors first visiting in the last 30 days DailyNews.com is continuing to grow with 23% of daily visitors first visiting in the last 30 days

65 SUMMARY  Great Audience  Extended Reach  High Frequency  Local Opportunity

66 Where will we go next? The Future Thank you.